Topic: ASICMINER: Entering the Future of ASIC Mining by Inventing It - page 287. (Read 3917468 times)

AM does not have enough and cheap electrical power to deploy all devices.

Hell, no.

If the split happens after power is paid for, cryptx would be on this in an instant.

As long as all the hashpower gets sold or deployed, it is in AM's interests to restrict the franchise program to those with cheap electricity.


Now, the thing I don't understand is - if AM is able to ship real miners (not just chips) to franchisees, surely they should have fully deployed in their immersion cooling facility by now?

There is no update from FC.

Do you still think the seller is a honest guy?

That is just a problem to solve that would be easier than solving the problem of no one wanting to run a franchise and pay for the power out of their share and no profit. They could pay a flat rate of btc converted at market price per Kwh and potential franchisees could decide if they want to participate or not at those power rates. People with lower power rates would profit slightly more than others.

 Sure your way makes economic sense for the person mining but I think it would become an administrative nightmare for AM to figure out the energy costs for each miner.  If AM uses all 60 PH worth of chips - that's 4000 x 15TH franchises.

Oh please.  Let's not start a discussion about them.  That was a bad time...

It's NotLambchop , it was irony

Sure, if you never want to see your payouts or hardware again.

Any details on how it works?   
Any idea who's hardware they'll be using?

It would be very exciting to be a mini franchise.  Us Canadians have the cheapest electricity around, too.

DEFINITELY something to ponder!  Crazy idea but it's so crazy it just.. might.. work..

Yes, great point. It is. 

I see gargantuan potential here, maybe get IceDrill Will interested?
I remember talk of hot water for apartments, but this is more Regal...

That would actually be a lot better. The profit looks really nice like this.

Isn't the 80/20 split done after the power is paid for? That way it is the profit you are splitting. It doesn't make sense otherwise.

You're still owner of shares, that shares are *receiving* dividends as usual plus 20% of mining profits from that 15Th/s (seems like that to me)


That math is correct. But for somebody who has access to really cheap or free electricity, this deal is no brainer. Even with 0.15 cents/kW.h , you're making free 0.09 BTC (ups , I forgot about electricity cost, so yes, with 0.15 cents/kW.h you are making zero for you) every day + you're contributing with another 0.3588 to AM dividends for all shareholders(so you as miner get cut from this too). The more I think about this ... mastermind idea, also it helps decentralization  

edit : what about combine this with some hosting in Iceland ?

 So I can buy 100 shares for 20 bitcoins, put them up for collateral, get 20% of the mining paying my own electricity costs out of it and at the end of it all, I get my 100 shares back?  Well guess what.  At 15 cents US per kW.h and Bitcoin at $650 USD your power costs ARE  20% of what you could generate today!  You get nothing but loss from this venture.

 15 TH/s generates 0.4485 BTC per 24 hours
 1 kW.h @ 0.15 cents US = 0.000230769231 BTC /kW.h
 15 TH/s of AM GEN3 uses ~ 16.5 kW
 16.5 kW.h x 24h x 0.000230769231 BTC/kW.h = 0.091384615476 BTC
 20% of your production (0.4485 BTC per 24 hours) =  0.0897 BTC

 As you can see, it sucks.  Also, when diff goes up, it sucks worse.  
Check my math but I think I'm right.


  


 

So for every 100s of my full shares I can get 15Th/s of mining gear for free from AM ? And I will get normal company dividends for that shares, plus 20% of what I mined "at home" as franchise? And that shares are held as collateral in case I get robbed, I run away, or don't provide expected hashing power to the pool(cheating, self mining, not mining for AM but myself). Good.

If this is the case, it's nice franchise program also for small miners and nice bonus for us, shareholders

Interesting idea

EDIT : AND it creates a demand for AM shares, because if you want to be franchise(in this program), you must own shares.

Oh i know that if everything goes well, no shares are purchased back... but sometimes they would be.  And the fact that FC is totally cool with getting his shares back, says something.

My personal Assumption
It isn't a share buy back. The shares go up as Collateral where you alone get 20% of the machine you are hashing for, and 80% goes to AM (For Everyone else's Dividends). You don't lose your shares, you merely have them on collateral until you are done with your franchising then. (This means that if you run off with the equipment then you are effectively lose your shares, if you don't run off with the equipment then you won't lose your shares). You would get them back at the end of the endeavor at no cost.

No shares would be bought back and AM wouldn't lose money, they would effectively be building a decentralized mining farm.

Basically if you put up 1000 shares as collateral, then you would mine ~150TH and get 20% of the BTC they mine (minus electricity), 80% of the BTC would go back to AM, where AM saves for Gen4/Pays Divs.


(I don't know if your 1000 shares will get divs from these or any other mining at the time, but if you have 1001 shares, then 1 share will get divs.)

After this is done and the mining ceases or I guess you wish to finish franchising, then you would send the equipment back to FC and get access to your 1000 shares again.

This is the same type of franchising FC talked about a month or so ago, instead of doing checks on mining farms though, he just uses your shares as collateral.

It would be best to wait until all the terms and conditions are presented.